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2018 OECD Economic Outlook, Volume 2018 Issue 2

image of OECD Economic Outlook, Volume 2018 Issue 2

The OECD Economic Outlook is the OECD's twice-yearly analysis of the major economic trends and prospects for the next two years. The Outlook puts forward a consistent set of projections for output, employment, prices, fiscal and current account balances.

Coverage is provided for all OECD member countries as well as for selected non-member countries. This issue includes a general assessment, a special chapter on the implications for public policy of the decoupling of wages from productivity and a chapter summarising developments and providing projections for each individual country.

The Statistical Annex is available on-line only at https://dx.doi.org/10.1787/eco_outlook-v22018-2-en

 

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Indonesia

Economic growth is projected to remain above 5% in 2019-20. Rising incomes will lift private consumption. Tighter financial conditions will weigh on firms’ investment but ongoing infrastructure investment will provide support. Slower growth in trading partners will be a drag on exports, but improvements in regulations and connectivity, along with greater price competitiveness from currency depreciation, should support gains in market share. Inflation is set to remain relatively subdued notwithstanding the rupiah depreciation and higher fuel prices. Higher import prices have widened the current account deficit.

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